VIEW: Some attention being given to a note......>

RBA: VIEW: Some attention being given to a note released by Goldman Sachs in

European hours yesterday, which suggests that the "having opted to forgo an

"insurance cut" earlier this week - (the RBA) will now remain on hold for 2020.

To be clear, there are a number of quite feasible scenarios where the RBA is

drawn back into further easing, but the Governor this week re-affirmed a strong

reluctance to cut rates and a preparedness to look through near-term weakness in

GDP and an ongoing undershoot of the RBA's inflation/unemployment objectives.

Absent a steady rise in the unemployment rate over a couple of months (unlikely,

in our view, given many employers will appreciate the temporary drivers of the

slowdown), rates on hold in 2020 now looks to us the most likely scenario - and

particularly given that renewed RBA concerns around financial stability

increasingly appear an impediment to further easing."